Carboxyl-randomized poly(2-ethyl hexyl acrylate) (CRPEHA) and epoxy-randomized poly(2-ethythexyl acrylate) (ERPEHA) were synthesized by solution polymerization technique in the form of liquid rubbers. The liquid rubbers were characterized by IR and H-1-NMR spectroscopic analysis, nonaqueous titration, and GPC. The liquid rubbers were pre-reacted with the epoxy resin and the modified epoxy networks were made by curing with an ambient temperature curing agent. The modified epoxy networks containing different concentrations of CRPEHA (A-1) and ERPEHA (B-1) were evaluated with respect to their thermal and impact properties. The optimum properties were obtained at 10-phr concentration of a (1 : 1) mixture of CRPEHA and ERPEHA. Fracture surface analysis by scanning electron microcopy indicated the presence of a two-phase microstructure. (C) 2004 Wiley Periodicals, Inc.